Wednesday, November 14, 2007
Bush to Idaho: "Let Them Eat Potatoes"
Whew. For a while there I was getting worried after reading about the sinking dollar, but Bush has reiterated his dedication to a strong dollar policy.
Steve Pizzo writes, “Oil is not reaching for $100 a barrel because oil is worth anything close to that. It's because the US dollar is falling in value and oil producers, while slippery, are not stupid. They aren't about to let the US buy their oil with cheaper and cheaper dollars. So they are demanding more bucks for a barrel. Eventually they will do as China is about to do, detach the value of their products and currencies from the value of the US dollar. When that process is complete the US dollar will find itself trading along with third-world currencies.”
Concerning another aspect of our “strong economy,” Mike Whitney recently wrote: “Is it possible that anyone with a pulse and a minimal ability to reason couldn’t see the inherent problems of building a humongous financial edifice on the prospect that millions of first-time homeowners with a bad credit history and no collateral would pay off their mortgages in a timely and responsible manner?”
This is where I raise my hand and invite him to Idaho. Many people here even believe the Labor Department’s August inflation report of food prices rising at 4.1 percent for the year ending in June, without realizing the report neglected to mention that milk, eggs and other essentials are inflating in double digits. This administration plays so many cute jokes!
You don’t suppose that a “strong dollar policy” means Americans will need to be very strong in order to carry enough dollars to the grocery store?